Sr. No.

Queries Answer Choices

A B C D Correct Answer
1 Who regulates the commodity derivatives market in India RBI IRDAI PFRDA SEBI SEBI

2 Since which year SEBI has been regulating the commodity 1992 1953 2015 1956 2015
derivatives trading in India
3 Whether SEBI regulates spot market commodity trading Yes No Not sure Probably Yes No
also
4 When did BSE & NSE launched commodity derivatives 2018 2017 2016 None of these 2018
trading on their platform
5 What is Arbitrage entering into sell and entering into purchase simultaneously entering entering into sell simultaneously entering
purchase transaction in spot transaction in spot & into sell and purchase transaction in spot and into sell and purchase
market futures market transactions in two or futures market transactions in two or
more markets more markets

6 Please read the given statement and then select the right False TRUE partially true Not sure True
option as your answer: "A
forward contract is not settled until the end of life and do
infact lead to delivery of the underlying asset"
7 Which of the given factors affect the prices of agri Weather condition agriculture production changes in import & all the three All the three
commodities? export policies

8 Besides price risk, which are the risks that exist in spot Delivery risk Transportation risk Credit risk all the three all the three
market?
9 Who is obligated to provide liquidity in the derivatives Position trader Day trader Market maker Arbitragers Market maker
market by giving two way quotes all the time

10 Future price higher than the spot price, is called as conversion Divergence contango Backwardation Contango
11 Spot price higher than futures price is called as conversion Divergence contango Backwardation Backwardation
12 In which type of past system, goods were exchanged Barter OTC Monetary Option Barter
between two parties with mutually coincident needs

13 Demand for gold is relatively elastic perfectly inelastic inelastic perfectly elastic relatively elastic
14 Which Exchange launched futures trading in base metal NCDEX NSE MCX BSE MCX
index
15 Which commodity from the given options is included in copper steel brass tin copper
METLDEX
16 In the past, which was the vibrant exchange dealing in Spices and Oilseeds Exchange Kanpur Commodity Hapur Commodity none of these Spices and Oilseeds
turmeric futures ltd., Sangli Exchange Exchange Exchange ltd., Sangli
Sr. No. Queries Answer Choices
A B C D Correct Answer
17 Which Government initiative/policy announcement gave National Agriculture Policy, National Agriculture land reforms encouragement to co- National Agriculture
the first major impetus to agricultural futures market? 2000 Market (eNAM) operative joint farming Policy, 2000

18 In India, name the commodity in which futures trading was Rice,1888 Copper, 1870 Maize ,1877 Cotton, 1875 Cotton ,1875
started first and when
19 Prior to Independence, which were the commodities in Maize,rice,bajra Cotton, Jute, copper,steel,zinc Urad Tur, Chana Cotton, Jute, Gold,
which futures trading took place Gold,oilseeds, wheat oilseeds, wheat
Sr. No. Queries Answer Choices
A B C D Correct Answer
20 Among these associations, which association was set up East India Jute trade Gujarati Vyapari Mandal Bombay Cotton Trade Chamber of Commerce, Bombay Cotton Trade
first for futures trading Association Association Ltd Hapur Association Ltd

21 Where and when futures trading in oilseeds was introduced Chennai -1889 Bombay1900 Ahmedabad 1887, Indore1886 Bombay1900

22 Where and when futures trading in wheat was introduced Hapur 1913 Bombay 1915 Hissar1911 Rohtak 1914 Hapur 1913

23 Where and when futures trading in raw jute and jute Gwalior1911 Latur 1916 Kolkata 1912 Sirsa 1910 Kolkata 1912
products was introduced
24 Post independence, through which act commodity Forward Contracts Bombay Forward Defence of India Act, none of these Forward Contracts
derivatives trading was regulated in India until 2015? (Regulation) Act, 1952 Contracts Control 1915 (Regulation) Act, 1952
Act,1947
25 Since which year Bullion market has been functioning in 1890 1920 1915 1907 1920
Bombay
26 Among these, which is a key feature of the modern Demutualisation access to a limited open out cry no loss no profit Demutualisation
exchanges number of clients and
members
27 Among the given options, which Government/regulatory Individual State Government Central Government RBI Local bodies such as Individual State
bodies regulates spot market trading in agricultural municipalities and gram Government
commodities panchayats
28 In which year, Government of India issued licences for the 2005-06 2000-01 1999-2000 2002-03 2002-03
first time for setting up national level multi commodity
exchanges?
29 Please read the given statement and then select the right False Partially true TRUE Not sure True
option as your answer:
"Securities Contract(Regulation ) Act, 1956 empowers SEBI
to grant recognition to stock exchanges in India"

30 Which among the given options is a key mandate for SEBI? Regulation of securities protect the interest of Promote the all the three all the three
market investors development of
securities market
31 In which year Electronic mode/platform for lodging and 2010 2011 2012 2014 2011
tracking complaints by the investors
(SCORES) was launched
32 Which among the given options, is not a mandatory e-mail address Name & address PAN
requirement for lodging complaints on SCORES?
Aadhaar Number Aadhaar Number

33 Which is major benefit of SCORES? Reduces the Available 24*7 all the three all the three
Speedy redressal
turnaround time
Sr. No. Queries Answer Choices
A B C D Correct Answer
34 What is a limit order gets executed at specific gets executed at current gets executed at best none of these gets executed at
price market price available price specific price
35 Please read the given statement and then select the right False partially true True Not sure True
option as your answer: "Stop-
loss orders are good means of protecting one's profit or
limiting one's loss, while waiting for market to recover"
Sr. No. Queries Answer Choices
A B C D Correct Answer
45 Which is the oldest benchmark or reference gold price for Bombay Bullion Association LBMA MCX NCDEX Bombay Bullion
stakeholders in India? Association
46 What is a derivatives contract? Derivatives are financial It is spot contract contractual obligations none of these Derivatives are financial
contracts which derive their contracts which derive
value from an underlying their value from an
asset underlying asset

47 What is the role of commodity derivatives market? Assists,regulates,or controls Facilitating buying and Providing logistic promoting OTC markets Assists,regulates,or
the business of buying ,selling selling in spot market services and other controls the business of
or dealing only in commodity facilities buying ,selling or dealing
derivatives only in commodity
derivatives

48 What has been set up by regulator and stock exchange to manual price ticker boards electronic price ticker electronic hedging electronic risk electronic price ticker
provide rural farmers access to real time prices boards boards management boards boards

49 One of the key parameters of suitability of commodity for fairly and freely traded available on international should be in demand in demand from HNI fairly and freely traded
futures trading is that it should be exchanges from financial sector

50 At the time of designing a futures contract, parameters are the physical or cash market OTC market international spot international derivatives the physical or cash
based mainly on the practices being followed in market market market

51 Among these,which is also referred to as physical market or OTC market electronic market spot market forex market spot market
cash market?
52 When was the first organised commodity futures market 1874 1867 1875 1888 1875
started in India?
53 In India, National Board of Trade was recognised as vibrant Soy complex futures Rapeseed complex futures sunflower seed complex groundnut complex Soy complex futures
exchange for trading in futures futures

54 What is cartelisation? A group of traders who Buyers and sellers A group of buyers A group of sellers A group of traders who
control supply and manipulate negotiate the price manipulate the price manipulate the price control supply and
price in their favour manipulate price in their
favour
Sr. No. Queries Answer Choices
A B C D Correct Answer
57 What is E-Auction? An e-auction is a transaction Action takes place Action takes place None of these An e-auction is a
between sellers (the between buyers and between buyers and transaction between
auctioneers) and bidders sellers in the APMC mandi sellers in the market sellers (the auctioneers)
(suppliers in business to yard and bidders (suppliers in
business scenarios) that takes business to business
place on scenarios) that takes
an electronic marketplace. place on
an electronic marketplac
e.

58 What is churning It is a practice of a broker Reasonable trading by Keeping position None of these It is a practice of a
overtrading in a client's broker to protect client outstanding for broker overtrading in a
account for a purpose of interest favourable price client's account for a
generating commission movement purpose of generating
commission

59 What is cornering? To infuse supply in the market To secure such relative To protect the interest To protect the interest To secure such relative
and save interest of seller control of commodity of buyers from being of buyers and sellers control of commodity
that its price can be indulged in delivery against unfavourable that its price can be
manipulated default price movement manipulated

60 Trader, who holds an investment for an extended period of hedger position trader market maker None of these Position trader
time with the expectation that it will appreciate in value, is
called
61 What is round turn? It is completed transaction It is incomplete It is roll over from near none of these It is completed
involving both a purchase and transaction of sale month contract to far transaction involving
liquidating sale or a sale purchase month contract both a purchase and
followed covering purchase liquidating sale or a sale
followed covering
purchase

62 Among these, which is not the parameter of efficient free entry & exit large number of buyers information asymmetry no price opacity information asymmetry
commodity derivatives market? and sellers
Sr. No. Queries
A B
63 What is kerb trading? Trading that takes place after Trading that takes place
official hours
64 What is liquid market? A market where selling and
buying is accomplished with
minimal price change
65 What is illiquid market? A market where selling and
buying is accomplished with
maximum price change
66 What is representative or basis price? A price reflecting general
price trend of a commodity
67 What is volume? Total transaction of one
trading day
68 Please read the given statement and then select the right False
option as your answer: "In
technical analysis, volume is used to confirm different types
of price pattern"
69 What is open interest? Total no. of outstanding
contracts of buy and sell have
been entered into and not yet
liquidated by an offsetting
transaction or fulfilled by
delivery
70 Open interest of 1000 means 1000 buyers and 100 sellers
on that date
71 Among these, which are the forms of clearing members in self clearing member
commodity derivatives market
Answer Choices
C D Correct Answer
Trading takes halt Stock exchanges Trading that takes place
between official hours without any official intervene and stop after official hours
reasons trading
market where only sellers market where only A market where selling A market where selling
are dominant buyers are dominant and buying is and buying is
accomplished with accomplished with
maximum price change minimal price change
A market with high A market with entry and all the three all the three
impact cost exit barriers
Price reflecting rising Price reflecting falling Price reflecting trend of A price reflecting
trend of a commodity trend of a commodity a producing hub general price trend of a
commodity
Total transaction of Total transaction up to none of these Total transaction of one
preceding day and 5:00 pm prior to closure trading day
subsequent day of trading day
partially true True Not sure True
All the outstanding Total no. of outstanding Total no. of outstanding Total no. of outstanding
contracts of buy and sell contracts of buy and sell contracts of buy and sell contracts of buy and sell
are squared off are fulfilled with are fulfilled with cash have been entered into
delivery settled and not yet liquidated
by an offsetting
transaction or fulfilled
by delivery
100 buyers and 1000 1000 buyers and 1000 1000 buyers and 1000 1000 buyers and 1000
sellers on that date sellers on that date sellers on preceding sellers on that date
date
trading cum clearing professional clearing all the three all the three
member member
Sr. No. Queries Answer Choices
A B C D Correct Answer
72 Among these, which is incorrect regarding futures contract? futures contract are futures contracts are Commodity futures Commodity futures futures contracts are
agreements made today to customised and are help value chain facilitates seasonal customised and are
buy or sell an asset in future traded at bank desks participants to protect supply chain traded at bank desks
themselves against management
unpredictable changes
in prices
Sr. No. Queries Answer Choices
A B C D Correct Answer
73 Among these options, which action will offset a long sell any futures contract, Hold a futures contract Sell futures contract buy any futures Sell futures contract that
position in a futures contract that expires in June? regardless of its expiration until it expires that expires in June contract, regardless of expires in June
date its expiration date

74 Which among the given options, causes the futures price of Higher expected spot price for Loss in income while Lower expected spot Higher income received Higher expected spot
an asset to increase, everything else held constant? the underlying asset carrying underlying asset price for the underlying while carrying price for the underlying
asset underlying asset asset

75 Among these, which statement about gross domestic GDP is composed of
product (GDP) is wrong? consumption, investment,
government spending, and
net trade.
The most widely-used GDP counts goods and GDP is the value of all GDP counts goods and
measure of the economic services produced by goods and services services produced by
health of the overall nationals in a foreign produced in an nationals in a foreign
economy is GDP. country, and not goods economy over a country, and not goods
and services produced particular time period and services produced
by foreigners in the by foreigners in the
domestic country. domestic country.

76 What is inflation? decrease in value of money Increase in value of increase in purchasing increase in economic decrease in value of
money power activity money

77 Among the given regulators, who is responsible for SEBI Ministry of Finance State Government Reserve Bank of India Reserve Bank of India
managing inflation?
78 Among these, which is incorrect method to control control of money supply increase in tax rates decrease in interest rate wage control decrease in interest rate
inflation?

79 What is recession? Higher purchasing power decline in economic positive real gross increase in consumer decline in economic
activity spread across the domestic products demand activity spread across
country for two (GDP) rate the country for two
consecutive quarters consecutive quarters

80 among these, which is an example of fiscal policy Changing reserve requirement Controlling money supply Tax increase Consumer spending Tax increase

81 Hedging through futures contracts increases risk of loss if prices eliminates profit increases risk of loss if ensures profit eliminates profit
fall maximization potential prices rise maximization potential maximization potential

82 Which among the given options, is not a regulator in India? SEBI RBI CFTC IRDA CFTC
Sr. No. Queries Answer Choices
A B C D Correct Answer
83 Please read the given statement and then select the right False Partially true True Not sure true
option as your answer: "Market
integrity, Financial integrity and Customer protection are
the key to success of commodity derivatives market"

84 A party aggrieved by the appellate arbitral award may file Court of Law SEBI Stock Exchange Clearing Corporation Court of Law
an application to the
Sr. No. Queries Answer Choices
A B C D Correct Answer
85 What is E-registry? It maintains electronic records A physical statement of Confirmation by None of these It maintains electronic
of ownership of goods deposit of goods in clearing corporation records of ownership of
warehouse about deposit of goods goods
in warehouse

86 What is NWRs (Negotiable warehouse receipt)? Negotiable warehouse receipt Receipt given by Receipt given by Receipt given by Negotiable warehouse
which effects transfer of commission agent commodity exchange clearing corporation receipt which effects
ownership of such goods by through APMC transfer of ownership of
electronic process such goods by electronic
process

87 Which is not the objective of introduction of eNWRs? To replace paper based hassles free transfer To facilitate easy To promote role of To promote role of
(Electronic Negotiable warehouse receipts)? warehouse receipt which availability of loan to moneylenders moneylenders
caused substantial problem farmers through banks

88 Who is monitoring the repository system? WDRA (Warehousing SEBI RBI state government WDRA
(Development & Regulatory
Authority,2010)

89 When WDRA issued the guidelines for introduction of Oct-16 Nov-14 Mar-10 Apr-08 Oct-16
electronic negotiable warehouse receipts(eNWRs)

90 Who incorporated National E-Repository Ltd (NERL) ? NCDEX MCX NSE BSE NCDEX

91 Who among these is not user of NERL? moneylenders Repository participants Banks Clearing moneylenders
member/Clearing
corporation
92 Which among the given options, represents major Creation of e-NWRs Transfer of e-NWRS Security and All the three All the three
responsibility of a repository? between users of the authenticity of e-NWR
repository

93 Among these, which is not activity of repository account opening Off market transfer pledge stocks with withdrawal intimation pledge stocks with
participants? money lenders money lenders
Sr. No. Queries Answer Choices
A B C D Correct Answer
94 How repository works? Repository application is web Clearing corporation Repository works under None of these Repository application is
based application, which monitors repository work web based network of web based application,
provides end to end solution stock exchange which provides end to
for all the transaction related end solution for all the
to electronic warehouse transaction related to
receipt electronic warehouse
receipt

95 Which stock exchange migrated Comtrack to NERL NSE MCX ICEX NCDEX NCDEX